Abu Dhabi's Taqa swings into second-quarter profit

Abu Dhabi National Energy Company (TAQA) said that it has made a profit in the second quarter attributable to shareholders from a year-earlier loss, aided by higher oil prices.

TAQA made a profit of $9.5m (AED35m) in the three months to 30 June, compared with a $160m (AED588m) loss in 2016, according to reports.

TAQA suffered a full-year loss of $5bn (AED18.5bn) last year due to continued effects of low oil prices, but has made profits in both quarters so far this year.

Revenues in the second quarter increased to $1.1bn (AED4.2bn) from $1bn (AED4bn) in the prior-year period.

In May, TAQA pulled out of its wholly owned subsidiary in India, Himachal Sorang Power, citing the lack of “significant synergies with the rest of the company’s power and water business” as the reason.

A TAQA spokesman said: “We did not view Sorang as core to our long-term power and water strategy as it is a relatively small and un-contracted power asset.”